Staffing firm GEE Group entered into a nearly $73.8 million revolving credit, term loan and security agreement with PNC Bank and certain investment funds managed by MGG Investment Group.

Under the terms of the credit agreement, the company may borrow up to $73.75 million consisting of a four-year term loan in the principal amount of $48.75 million and revolving loans in a maximum amount up to the lesser of $25 million or an amount determined pursuant to a borrowing base that is calculated based on the outstanding amount of the company’s eligible accounts receivable. The loans under will bear interest at rates at the company’s option of LIBOR + 10% or PNC’s floating base rate plus 9%, and will mature on March 31, 2021.

Amounts borrowed under the credit agreement may be used to repay existing indebtedness, to partially fund capital expenditures, to fund a portion of the purchase price for the acquisition of all of the issued and outstanding stock of SNI Holdco, to provide for on-going working capital needs and general corporate needs, and to fund future acquisitions.

The credit agreement is secured by all of the company’s property and assets.